Iraq is to delete the zeros of the Dinar and raise its value against the dollar
Sunday, March 25, 2012
BAGHDAD – Naseer Goldfinch
Official sources in the Iraqi Central Bank to the project to delete three zeros from the Iraqi dinar actually began, and that the process will cost the budget 172 billion dinars (150 million dollars). She explained that the budget next year will be the new dinar, which will serve the Central Bank to gradually raise its value against the dollar and equal access to price, any dinars per dollar.
Showed official documents private replace the dinar obtained by the «life» that the new edition will be issued in three languages, Arabic, Kurdish and English, as will cost the printing process, which will be forwarded to one of four international companies specialized $ 150 million, including printing, transportation, insurance, and work outside of office hours for the destruction of the currency old within the «central».
The latter oversaw the implementation of the decision issued by the former U.S. civil administrator Paul Bremer spent a replacement currency issued during the regime of former President Saddam Hussein with new ones, and the process took three months for the new currency to replace the old and the withdrawal from the market.
The Deputy Governor of the «central» the appearance of Mohammed Saleh to study for the printing of a new series of coins started since 2005, when he began correspondence with the Committee on Economic Affairs in the government in 2007 around the idea of deleting three zeros from the currency. He pointed out that the bank began printing new currency that it will be characterized according to the best standards worldwide and will ensure the security properties of aesthetic, artistic and national benchmarks.
He stressed that one of the most pros would be to reduce the size of 30 trillion dinars to 30 billion, the currency will also be tamper-proof and enhance the confidence of their customers and increase its value against other currencies, in addition to lowering the numerical value of financial transactions and accounting. He pointed out that the replacement process will not be as quick as in 2003, but will be gradually to prevent any fluctuation in the value of the currency, and can last two years and keep the old currency accepted during this period and also new to the old while pulling through banks.
And confirmed member of the parliamentary economic committee that Nora Albjara currency exchange requires the approval of Parliament, and this project is not without its problems but it will be less than that accompanied the replacement process in 2003, and the replacement will be long term and allow for examination before the old destroyed.
It showed that some members of Parliament suggested that the fees on the new currency with an Islamic character, but that was met with objections on the grounds that Iraq’s multi-religious and ethnic groups and sects. The other problem is represented in the pre-substitution, ie, the state budget and stock prices, which requires the issuance of coins of small group to avoid problems.
Iraq and issued the first national currency mid-1921 in Prince Faisal Ibn Al Hussein and called the penny, and first saw the light of Iraqi dinars in 1932 and carried a picture of King Faisal I, was established in 1947, the National Bank of Iraq to adopt the subject of printing the currency. Did not change the form of currency until the establishment of the Republic of Iraq in 1958, to change later, after the Baath Party took power in 1968. And disappeared original currency after 1990 and appeared currency printed locally in the presses of newspapers and the poor and devoid of controls in place globally, after the siege continued decline in the exchange rate of the dinar against the dollar until he arrived in 1995 to 3000 dinars to the dollar, which has produced tons of currency printed locally.